Trying to Reason with High Vol Season – Global X ETFs – 4.9.25

Summary:

Higher volatility was our base case for 2025—and here it is. The economic and fundamental backdrops are still reasonably sound, but persistent inflation, higher rates, uncertainty around tariffs, and cuts to government spending will almost certainly be omnipresent factors over the coming months. Whether the financial market–White House honeymoon came to an early end after four weeks or not, there is a very real and consequential race underway to see if meaningful economic public policy success can outrun waning animal spirits.

The downshift in sentiment across consumers, small businesses, and investors in recent weeks could increase market vulnerability to shocks as the new administration clarifies the path forward on tariffs, taxes, and spending.

For investors, times like these are reminders to keep investing basics top of mind: stay diversified to help stay calm. High volatility can be unsettling, but a range of strategies and themes have the potential to reduce portfolio risk without sacrificing growth.

Join Global X as we explore three strategies to consider in the current market environment:

• Low beta themes like Defense Tech and Infrastructure Development
• Long-term secular growth themes at reasonable valuations, such as AI
• Uncorrelated income strategies like covered calls

Accepted for 1 CFP / IWI / CFA CE Credit

Speaker:

Scott joined Global X in 2022. He is responsible for delivering actionable insights and innovative investment strategies to clients, researching trends at the intersection of accelerating technological, demographic, and environmental change. Previously, Scott was responsible for building out the ProShares line-up of thematic ETFs. Prior to that, he served as Head of Thematic Portfolios and Co-Head of Market Research and Strategy at Morgan Stanley, launching the firm’s thematic research and portfolios, while managing a team that developed global multi-asset investment advice. Scott also held prior roles at BNY Mellon, Credit Suisse First Boston, and the Federal Reserve Board of Governors. His work has appeared in numerous media outlets including Barron’s, Bloomberg, and Foreign Affairs. Scott is the co-chair of the Business and Security Roundtable at Fordham University’s Center for National Security and is a Fellow at the Center for Cyber and Homeland Security at Auburn University. He served as an Assistant Professor of Social Science at the U.S. Military Academy and the Director of Research at West Point’s Combating Terrorism Center, working across 60 government offices. He is also a member of the Economic Club of New York and was a Term/Corporate Member in the Council on Foreign Relations. Scott holds a Joint Doctorate in Public Policy and Political Science from the University of Michigan, an MA in War Studies from King’s College (London), and a BBA in Finance from The George Washington University.